Bonuses Can Be Withheld By Disney According To The National Labor Regulations Board

Last week, The National Labor Board ruled in Disney’s favor stating that the company is well within it’s rights to withhold bonuses during a wage renegotiation. The $1,000 bonuses for 125,000 cast members were announced by Disney in January following a corporate tax cut passed by Congress. That bonus was paid to workers that were not a part of the Service Trades Union that was undergoing the wage negotiations. The coalition then brought charges of discrimination and retaliation against Disney.

The Service Trades Union and Disney have been renegotiating wages for over a year. Some members are asking that Disney raise it’s minimum wage from $10 an hour to $15 an hour. Disney did offer to raise the wage to $15 an hour by 2021 in exchange for a concession on overtime and holiday pay but some members were not satisfied. Negotiations are set to resume on Friday.

The National Labor Board Regional Director David Cohen stated “There is no evidence that the employer is refusing to meet and bargain further about bonuses and wage rates. Accordingly, there is insufficient evidence to establish that the employer has unlawfully failed to bargain in good faith.”

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